A week after its declaration of a state of emergency in Cajamarca, the replacement of Peru’s prime minister by a retired army officer signals a sharp turn to the right by President Humala’s government.

Ollanta Humala, who won the Peruvian election on the basis of appeals to nationalism and resentment over social inequality, has filled key posts in his cabinet with representatives of the ruling elite.

Two weeks ago, El Comercio, Peru’s most influential newspaper, began publishing secret cables from the US embassy in Lima released by of WikiLeaks. What has been released so far reveals the degree of submission and dependency on US imperialism by all the major political parties of the Peruvian bourgeoisie.

The Peruvian elections have dealt a humiliating defeat to the traditional parties, with a “resurgence of the left” being proclaimed in Lima, and the victory of regional groupings elsewhere in the country.

In the face of mass protests over the recent massacre in the Amazon basin and continuing blockades by indigenous groups, the Peruvian government has been forced to repeal two decrees opening up the region to exploitation.

A massacre carried out by heavily armed Peruvian security against protesting Amazon Indians left dozens dead as the Garcia government attempts to open up the region to exploitation by the transnational corporations.

A three-judge panel of Peru’s Supreme Court unanimously sentenced former President Alberto Fujimori to 25 years in prison Tuesday for his role in two massacres carried out by the military death squad known as Grupo Colina, as well as kidnappings.

Responding to fears that growing social unrest will scare off foreign capital, Peruvian President Alan Garcia vowed to employ extra-constitutional power to guarantee the security of foreign investments in Peru.